We recently distributed a press release urging homebuyers to beware of the consequences associated with waiving the home inspection in the booming seller’s market we’re currently experiencing. The national release garnered over 2.2 million views—and with good reason.
The hot seller’s market, which is occurring all over the U.S. and Canada, has found many buyers being urged to skip the home inspection and a few other contingencies in order to rate first among the competition for the house they want.
One such case in Canada proved to be an amazing example, according to a CBS News report. The buyer was so anxious to obtain the seller’s home that in addition to buying the house, he also purchased the condo that she was downsizing into!
Regrettably, some buyers did not heed the warnings from many sources, including us.
For example, the Song family of Brampton, Ontario, recently bought their dream home and waived the home inspection at the seller’s request to get a firm “yes” on the deal. They waited a few months to move into their new home due to the pandemic and the issues that went along with moving during that period, and by the time they discovered that they had no well water, it was too late to do anything.
Worse, they discovered that they had to have the entire septic system replaced—at a cost of $120,000. This is something a home inspector would have easily caught. The couple eventually had to take out a mortgage just to pay for the new septic system.
What we’re seeing is that technologies such as virtual tours can be used to help the home inspection process take place much quicker, with less time invested from both the REALTOR® and the client. If a home inspection is needed in a hurry, this is an excellent solution.
Reports can be delivered within 24 hours in most cases, based on a 3,000-square-foot home. Larger homes require more time. After the completion of the home inspection, the following should be made available:
– A report of the inspection that lists the condition of the property
– Recommendations on what needs to be fixed
– A measured floor plan to help with furnishings, etc.
No matter the market, home inspectors across the board will tell you that skipping the inspection is a huge gamble.
Dan Steward is president and CEO of Pillar To Post Home Inspectors USA and has been lauded as a 2019, 2020 and 2021 RISMedia Real Estate Newsmaker. Pillar To Post Home Inspectors has been named No. 1 in category for nine years in a row on Entrepreneur Magazine’s Franchise 500® prestigious list ranking top franchise companies. Visit www.pillartopost.com.